WO2009150604A1 - Financial transaction system and method - Google Patents

Abstract

This invention relates to a financial transaction system and method, but not exclusively, and more particularly, to a banking system and method enabling retailers to deposit cash into their accounts remotely via Internet banking, as well as pay third party beneficiaries remotely with money in hand. The method comprises the steps of : receiving payment (cash or a cheque); determining the amount of payment; marking the cheque or cash; and crediting an account to the value of the payment or to a fraction of the value of the payment.

Description

FINANCIAL TRANSACTION SYSTEM AND METHOD

FIELD OF THE INVENTION

This invention relates to a financial transaction system and method and more particularly, but not exclusively, to a banking system and method enabling retailers to deposit cash into their accounts remotely via internet banking, as well as to pay third party beneficiaries remotely with money in hand.

BACKGROUND TO THE INVENTION

Current internet banking systems, while affording end-users a wealth of different services relating to the payment and transfer of money, do not enable

■ individuals to deposit cash into their accounts remotely through such internet banking systems;

^■ small and medium sized businesses, such as retailers, or indeed large corporations, operating on a largely cash basis, to deposit cash remotely into their accounts; ■ individuals to pay internet banking beneficiaries remotely with cash in hand; and

^■ businesses customers to pay internet banking beneficiaries (such as suppliers) remotely with from cash takings

Accountholders, at present, are currently required to deposit cash, or make payment to third parties using cash, within a physical, brick-and-mortar bank branch, or at an automated teller machine (ATM). The problem with the above system is evident, inasmuch as virtual banking has advanced dramatically in technological terms in all areas, save in the area of depositing cash, which remains static at the same technological level in place at the inception of widespread retail banking many decades ago.

One embodiment of the prior art is the automated teller machine (ATM), referred to above, in which bank customers have the option of depositing money into the ATM. This is done by inserting the money to be deposited into a slot in the ATM, after selecting the transaction on the screen. The money is then manually removed from the ATM, counted, verified and the deposit is recorded. The transaction is immediately reflected on the customer's balance, but in current banking systems, only becomes available for payment or withdrawal once the aforesaid manual removal and verification has been effected (often taking a number of days).

Another embodiment of the prior art are the tellers found at banks. In order to deposit money, the user goes to the bank and hands over the money to be deposited to the teller, together with a deposit slip. This deposit slip may reflect the user's account to be credited, or any other payee who is a client of the particular bank. The teller counts the money, either manually or inserts the money into a note reader. The money is then placed into a safe and the transaction is recorded. The obvious difficulties with this system are

^■ the inconvenience of having to go into a brick and mortar bank branch; ■ the time taken while queuing in the said bank branch; and

^■ safety and security concerns, with bank robberies on the rise; ■ the general danger of carrying cash while on route to the said bank branch; and

■ generally low levels of customer service within retail bank branches.

Some cash drop-safes used by retailers verify and count cash dropped into the safe at the retailer's premises, in real time, and credits the retailer's bank account with the value of the money dropped into the safe. As soon as the cash is dropped into the safe, the risk passes to a service provider who has to collect the cash and deposit it into its own bank account. The collection and transport of the cash creates a security risk.

OBJECT OF THE INVENTION

It is an object of this invention to provide a financial transaction system and method, that, at least partially, alleviates the abovementioned difficulty.

SUMMARY OF THE INVENTION

In accordance with this invention there is provided a financial transaction method comprising the steps of: receiving payment; determining the amount of payment; marking the payment; and crediting an account to the value of the payment or to a fraction of the value of the payment. A further step of the invention provides for the cash to be authenticated.

The payment may be cash or a cheque.

A further feature of the invention provides for the marking of the cash to be irreversible.

The invention extends to a financial system comprising a payment received counter, for determining the amount of the payment, a marking means for marking the payment and a storage means for storing the payment.

The system further includes an authentication means for authenticating the cash.

A further feature of the invention provides for the system to include a transmission means for transmitting information relating to the value of cash counted by the counting means.

The marking on the cash is a visually discemable marking.

These and other features of the invention are described in more detail below.

BRIEF DESCRIPTION OF THE DRAWING

One embodiment of the invention is described below by way of example only and with reference to the accompanying schematic diagram. DETAILED DESCRIPTION OF THE DRAWING

With reference to the diagram, a financial transaction system is generally indicated by reference numeral 1. The system includes a cash receiver and storage means 2 having a cash counter 3, a marking means 6 and a storage means 7. The receiving and storage means 2 further includes cash authentication means 4 and a transmission means 5.

The storage means 7 is in the form of a drop-safe and the communication means 5 is a transmitter for transmitting information over a wireless communication channel 8 to a financial institution such as a bank 9.

The cash receiving means 2 will be located at the premises of a retailer and may form part of the local area network computer system or of separate points of sale of the retailer. In which ever way the cash receiver 2 is integrated with the retailer's system, the retailer would deposit cash into the safe 7 through the money counter 3 that will count the money deposited prior to, or after the money, has been authenticated by the verification means 4. Once the money has been counted and authenticated it will be marked by the marking means 6 before it is dropped for storage means 7.

The value of the money counted by the money counter 3 is communicated to a bank

9, via the communication channel 8 from the transmission means 5. Upon receipt of the signal the bank 9 credits the retailer's bank account with the same amount. The money stored in the safe 7, once marked by the marking means, has now been nullified and the marking thereon provides a visual indication that the money is no longer of any financial value. The money may be cash or may even be a cheque.

In this way, the risk of collecting and transporting money is removed or at least minimized in that the cash has become worthless. The marked cash could however still be used for reconciliation and proof of receipt, although the transmission from the transmitter could in most instances be sufficient proof of receipt of cash.

The system and method will now be still further described in yet further detail.

The receiver 2 may include a keypad and a display and a central processing unit on which software is stored to perform its functions. Alternatively, the software may be stored on a central server computer or on each fill point or point of sale device in which case the keypad and display of such till of server computer may be used.

While the user can place the notes in the receiver device in bulk, the note reader scans and verifies each note individually on the basis of:

■ the silver broken line imprinted on the front side (as signed by a Governor of a Reserve Bank (RB)) of each note;

^■ the unique reference number appearing twice on the back of each note - the device will instantaneously communicate with the RB/bank server to authenticate this number; and

■ the holographic image imprinted on the back of each note The scanning or counting module of the device instantly communicates via the transmitter the unique number, and the fact of the note's authenticity based on the three abovementioned unique features, to the user's internet banking platform, using the user's computer, where such information is temporarily stored.

Once the device has finished authenticating and marking a particular bundle of notes, a further prompt will ask the user whether the transaction is complete or whether there are further notes to be deposited. The software will prompt the user thus after each bundle of notes inserted has been scanned, verified and marked. Should the user answer the prompt in the negative (by clicking on "no"), he or she will again be prompted to feed more notes into the device as above.

There is also provided in the device a marking element that will indelibly imprint a unique, forgery-protected mark on notes once they have been scanned and verified/authenticated.

Only once the indelible mark has been imprinted on the notes will the information on the notes (serial numbers, amount, authenticity) be communicated to the user's bank's server, and immediately thereafter, to a Reserve Bank (RB) server.

This marking, while not "destroying" the notes will serve to effectively take the scanned, authenticated and marked notes out of commission, whereafter they cannot be used as currency. The above removal from commission is occasioned by the fact that the cash, heretofore reflected as part of the money supply within the economy, is transferred to the RB's measurement of "savings", that is, money held in short term bank accounts. The marking is made necessary to obviate the related possibilities of:

^■ third parties being paid the deposited money and unknowingly trying to extract a "double-value" therefrom; and

■ the party that deposited the cash fraudulently attempting to subsequently reuse the money.

Once the user has completed the scanning, authentication and marking component of the transaction (and affirmed this fact in the pop-up visual interface prompt), the unique numbers are conveyed to the user's bank's server. Only once the marking of the notes has been completed is the information communicated to the user's bank (and immediately after, the RB server). As is clear from the above, were the transaction to reflect in the user's account before this marking stage, the process would be open to dishonesty and forgery.

The user's bank server then instantaneously communicates this information with the RB's server, resulting in

■ the RB's readjustment of the amount of money held in savings vs that held as liquid cash in the economy; and ^■ a revision, for the particular bank, of the amount of cash reserves, in accordance with RB directives, it will require for the next day's trading

Once the scanning, authentication and marking component of the transaction is completed, the user will then be prompted to choose whether the cash should be

^■ reflected in the user's bank account, with immediate availability,

^■ paid in its entirety, or a portion thereof to be paid to one of the user's pre- saved third party beneficiaries, or

^■ paid in its entirety, or a portion thereof to be paid to a new third party to be set up by the user on his or her internet banking profile at this stage of the transaction

The software will further provide for the user, at completion of the transaction, to print proof of either the deposit or payment to a third party

The device, in conjunction with the software, also includes a back-up memory system, which will, in the event of a power failure or some other interruption in internet connectivity, recall information on those notes that had already been scanned, verified and marked when the transaction was interrupted Once internet connectivity is restored, the transaction will be resumed at the point at which the last notes were marked Thus, notes that were scanned and authenticated but not marked will have to be resubmitted, as it is only at the point of marking, as mentioned above, that information is conveyed to the user's bank's server The automatic banking machine will have a power supply, either from the main supply or from an integrated DC power source. The DC power supply may be a battery pack and would include a transformer. As an alternative to the battery pack, the automatic banking machine may have an uninterrupted power supply (UPS) and shall operate from the main supply. Solar power panels may also power the automatic banking machine as well.

It will be appreciated by those skilled in the art that the specific embodiment described is a non-limiting example and that many variations are possible without departing from the scope of the invention.

Claims

CLAIMS:

1. A financial transaction method comprising the steps of: receiving payment; determining the amount of payment; marking the payment; and crediting an account to the value of the payment or to a fraction of the value of the payment.

2. A method as claimed in claim 1 in which the cash is authenticated.

3. A method as claimed in any one of the preceding claims in which the payment is cash.

4. A method as claimed in anyone of the preceding claims in which the payment is a cheque.

5. A financial transaction method as claimed in any one of the preceding claims in which the marking of the cash is irreversible.

6. A financial system comprising a payment received counter, for determining the amount of the payment, a marking means for marking the payment and a storage means for storing the payment.

7. A system as claimed in claim 6 includes an authentication means for authenticating the cash.

8. A system as claimed in any one of claims 6 or 7 in which a transmission means for transmitting information relates to the value of cash counted by the counting means.

9. A system as claimed in any one of claims 6 to 8 in which the marking on the cash is a visually discernable marking.